Who Will Be taxed For Interest On Fixed Deposit In Wife’s Name Made By Husband ?

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Mr.ABC gifted R.3.00 lacs to his wife. His wife invested the amount in a FDR for 15 months @ 10% on 01.04.06. The interest on FDR has been clubbed in Mr.ABC for the year 06-07 and 07-08 and returns filed. The FDR matured on 30-06-07 and the proceeds were invested in Gold. The Gold was…